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Toyota Motor Corporation Announces $500 Million Investment In Joby Aviation's Electric Air Taxi Development
Toyota Motor Corporation has announced a $500 million investment in Joby Aviation to support the certification and commercial production of electric air taxis. This investment will be made in two equal parts, with the first expected to close later this year and the second in 2025. The collaboration aims to advance their shared vision of air mobility.
Joby Aviation, a California-based company, is working on developing an all-electric air taxi that can take off and land vertically. The company plans to offer a fast, quiet, and convenient service in cities worldwide. Toyota's investment will bring its total contribution to Joby to $894 million.
The investment terms include plans for a manufacturing alliance during the initial phase of commercialization. This partnership is subject to standard regulatory approvals and other conditions. The funds will be used for common stock purchases, with further details available through regulatory filings with the SEC.
JoeBen Bevirt, founder and CEO of Joby Aviation, stated, "Today’s investment builds on nearly seven years of collaboration between our companies." He emphasized Toyota's role in Joby's success and expressed eagerness to deepen their relationship as they work towards their vision for future air travel.
Joby has made significant strides toward commercialization by rolling out its third aircraft from its pilot production line in Marina, California. Additionally, they have started expanding their facility in California, which will more than double their manufacturing capacity.
In August 2024, Joby confirmed that it had completed over one-third of the fourth stage of the type certification process. This progress marks an important step toward achieving full certification for their aircraft.
Toyota's Commitment to Air Mobility
Tetsuo "Ted" Ogawa from Toyota expressed excitement about Joby's progress towards certifying their aircraft and transitioning to commercial production. He noted that sustainable flight is crucial for addressing current mobility challenges.
Toyota's additional investment aligns with its long-standing goal of realizing air mobility for personal or daily travel. Since 2019, Toyota has contributed not only financially but also through sharing expertise in manufacturing methods and tooling design.
Collaboration and Future Plans
Toyota engineers are working closely with the Joby team in California. In 2023, both companies signed a long-term agreement for Toyota to supply key components for Joby's aircraft production.
This collaboration reflects Toyota's transformation into a mobility company while supporting Joby's efforts to introduce electric air taxis as part of urban transportation solutions globally.
The forward-looking statements within this announcement highlight potential risks and uncertainties related to market conditions and regulatory approvals. Both companies acknowledge these factors may affect the completion of investments or the success of their expanded alliance.
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